It would appear the selloff on Ethereum has resumed in the last one hour, pushing forward hopes of a short-term recovery. After starting the day and moving into positive territory, bears have seized control of the asset and are driving the ETHUSD pair lower. Ethereum is now 5.34% lower, following on from Monday’s steep drop which saw the ETHUSD pair losing 20% at a point before it pared some losses and shed 13.39% on the day.
From the perspective of technical analysis, the correction on the ETHUSD pair is not unusual. The price of any asset tends to undergo some correction following a steep ascent.
The same phenomenon is playing out on the BTCUSD chart.
The initial target for bears appears to be at the 981.48 price level, with yesterday’s intraday low at 901.33 serving as the additional target to the south.
On the flip side, bulls need to push past the resistance zone, which commences at 1116.12 and extends to 1173.82, before they can attain the 1244.35 resistance formed by a previous multi-year high on 29 January 2018.
